"PTO Donation Policy ----- One of my client is requested me to explore unique benefits strategy without any further cost involved. Wrt, I am looking at putting in a policy wherein, an employee can voluntarily make donations of his / her PTO time to fellow employees who are in need due to medical issues or any sudden emergencies where the desired employee do no't have accrued PTO. Anyone else do this before and if so, what should I look out for as I design the program? Thanks in advance for all the help. Best Ratna"

Hi Ratna,
We put in a vacation donation policy several years ago and I am currently
in the process of reviewing it based on an IRS Private Letter Ruling of
our policy. You may want to look into Revenue Ruling 90-29, 1990-1 C.B.
11 and Notice 2006-59, 2006-28 I.R.B. 60 for guidance.

To
bre2404 <bkottobre@aep.com>
cc
Subject
[benefits-plan-strategy] Paid Time Off Donation Policy
PTO Donation Policy -----
One of my client is requested me to explore unique benefits strategy
without any further cost involved.
Wrt, I am looking at putting in a policy wherein, an employee can
voluntarily make donations of his / her PTO time to fellow employees who
are in need due to medical issues or any sudden emergencies where the
desired employee do no't have accrued PTO.
Anyone else do this before and if so, what should I look out for as I
design the program?
Thanks in advance for all the help.
Best
Ratna

We currently use a leave sharing program - it works well. You want to
make sure that PTO is donated into a pool so there are not taxation
issues. We've also made our program anonymous to eliminate the
possibility of employees feeling like they have to give someone
something back for donating PTO.

PTO Donation Policy -----
One of my client is requested me to explore unique benefits strategy
without any further cost involved.
Wrt, I am looking at putting in a policy wherein, an employee can
voluntarily make donations of his / her PTO time to fellow employees who
are in need due to medical issues or any sudden emergencies where the
desired employee do no't have accrued PTO.
Anyone else do this before and if so, what should I look out for as I
design the program?
Thanks in advance for all the help.
Best
Ratna

Answered

Sorry! Something went wrong on our end. Please try again later.

Ratnasurekha

May 18, 2009 09:27 PM

Hi Kim,

Thank you for your input and valuable information.

May I request you to share if you have any draft while describing the procedure.

From: Kimm58301 via benefits-plan-strategy <benefits-plan-strategy@Groups.ITtoolbox.com>
Subject: RE: [benefits-plan-strategy] Paid Time Off Donation Policy
To: ""Ratnasurekha"" <ratnasurekha@yahoo.com>
Date: Tuesday, 19 May, 2009, 1:55 AM
We currently use a leave sharing program - it works well. You want to
make sure that PTO is donated into a pool so there are not taxation
issues. We've also made our program anonymous to eliminate the
possibility of employees feeling like they have to give someone
something back for donating PTO.

PTO Donation Policy -----
One of my client is requested me to explore unique benefits strategy
without any further cost involved.
Wrt, I am looking at putting in a policy wherein, an employee can
voluntarily make donations of his / her PTO time to fellow employees who
are in need due to medical issues or any sudden emergencies where the
desired employee do no't have accrued PTO.
Anyone else do this before and if so, what should I look out for as I
design the program?
Thanks in advance for all the help.
Best
Ratna